Current Vancouver Mortgage Rate News

Vancouver Mortgage Rates

The City of Vancouver carries the highest average home price in Canada (see below), but with mortgage rates in Vancouver expected to stay relatively low over the next year or two, home affordability remains feasible. Canadian banks have been competing with each other aggressively since the start of 2012 for mortgage market share. That competition has been keeping Vancouver mortgage rates at historic lows.

Vancouver Information

Vancouver is Canada’s third largest city and has a population of over 2.3 million citizens. The coastal city is sandwiched between the Pacific Ocean and the Canadian Rockies and boasts spectacular views regardless of direction.

The world also got a better glimpse of Vancouver through the 2010 Winter Olympics.

In 2016, the Most Liveable City in the World survey conducted by the Economist Intelligence Unit had placed Vancouver in a top ten spot. The survey factors stability, healthcare, culture and environment, education, and infrastructure. Mercer, which conducts the Quality of Living report, ranked Vancouver fifth in 2015 based on 39 different criteria to find the city with the best quality of life in the world.

The Vancouver Housing Market

The Vancouver real estate market receives a lot of attention because it is the most expensive city to buy a home in Canada. The average MLS® home price in 2015 was $902,801. The average home price has also surged over $1 million in 2016 and is expected to continue increasing in 2017. The housing market was heavily influenced by multi-million dollar properties, while homes costing over $1 million represented 36% of all homes sold during the first quarter in 2016. The CMHC is forecasting that residential property sales will be higher in 2016 than in 2015, before stabilizing onto a more sustainable pace later in 2017.

As long mortgage rates in Vancouver remain low, housing should stay affordable in the near future.1

MLS® Sales

MLS®Avg Price

2015

43,145

$902,801

2016 forecast

42,000-45,000

$1,022,000-$1,128,000

2017 forecast

34,000-38,100

$1,045,100-$1,179,000

* Data taken from the CMHC

Vancouver, which is known for its beautiful mountain backdrop, has been adding more and more condos to their skyline. The bulk of housing starts were dominated by multi-family units, which made up over four-fifths in the greater metro Vancouver area.2

Year

Housing Starts

Rental Vacancy Rate

2015

20,863

0.8%

2016 forecast

24,200-25,400

0.8%

2017 forecast

21,200-23,000

0.8%

Currently, Vancouver’s resale market is experiencing an imbalance between its number of sales and new listings. Historically low mortgage rates in Vancouver continue to persist, which should continue to support housing demand to the end of 2016.

Mortgage Brokers in Vancouver

To help you navigate mortgage rates in Vancouver, it is best to speak to someone who understands the market. There are many qualified Vancouver mortgage brokers
who can assist and educate you on your best options. Let them handle the negotiating and paperwork for you.